Portugal's Jeronimo Martins' annual results have been described as disappointing by analysts. A report by Schroder Salomon Smith Barney said the company's year 2000 EBITDA (earnings before interest, tax, depreciation, and amortization) of 201 million euros was 30 million below their estimates. Jeronimo Martins has also announced the demerger of its food retail operations from the rest of the business, splitting the company in two. The division will create JM Retail, incorporating Recheio, Biedronka, Jumbo, Eurocash and Sé, and JM Investments, comprising mainly the manufacturing business. SSSB said in principle the move was good news because it simplified the group structure, but the analysts said they were concerned the manufacturing business would be worth around 25 per cent less than the rest of the market is expecting. As part of the restructuring, 300 million euros is to be injected into JM Retail through the issue of 60 million shares at five euros each. However, the report said it would take time for the money to reach the company and suggested the capital increase may be insufficient as the resulting gearing would still be high for a company with exposure to emerging markets such as Poland and Brazil. The reasons for Jeronimo's poor results, according to SSSB were increased expenses, higher than expected costs and 62.6 million euros of restructuring provisions. {{NEWS }}